New Senate bill proposes minimum-wage alternative

As Democratic activists gather signatures to place a measure on the November ballot to raise the minimum wage in the state to $10.10 an hour, a separate effort to raise the wage, but by not nearly as much, is being led by a Republican state senator.

Sen. Rick Jones, R-Grand Ledge, announced Thursday he plans to introduce a bill to raise the minimum wage from $7.40 an hour to $8.15. It would also raise the tipped minimum wage by a dime, up from the current rate of $2.65 an hour.

The ballot measure would also raise the tipped minimum wage, but to the same $10.10-an-hour level. Jones' argument is that raising the tipped minimum wage so high could cause restaurants to lay off workers — or close — due to the higher labor costs.

Opponents see Jones' bill, which has not been officially introduced, as a way to counteract the ballot measure, which he opposes. When there was an attempt to raise the minimum wage in 2006, Republican lawmakers relented and voted to raise the wage to its current level, over a period of years, from $5.15 an hour. That vote led supporters of a ballot measure at the time to scrap their efforts to ask voters to not only raise the minimum wage, but to enshrine annual cost-of-living adjustments into the state constitution.

Michigan State AFL-CIO President Karla Swift called Jones' bill an insult that will fail to keep working families out of poverty at the level he is proposing, and will stifle the attempted ballot measure.

Danielle Atkinson, a member of the Raise Michigan Coalition, which is behind the ballot measure, said Jones' bill would amount to only an extra $30 a week for someone making the minimum wage. Swift noted that the 10-cent increase in the tipped minimum wage would put just $4 more in the pocket of a waiter or waitress.

Lambert Edwards acquisition

Grand Rapids-based public relations firm Lambert, Edwards & Associates announced last week its acquisition of Lansing-based public policy firm Sterling Corp., staking a claim as the largest public affairs firm in Michigan by billings.

Founded in 1999, Sterling is most well-known for its behind-the-scenes work on Senate Republican campaigns. Last year, Sterling won a Telly Award for its film honoring Gerald Ford that was shown at the 2012 Republican National Convention.

Under the acquisition, Sterling will remain a separate company and operate under its existing brand, led by Managing Partner Steve Linder and Partner and Political Director Mark Pischea. It has six employees.

Terms of the deal were not disclosed.

According to Lambert Edwards, the acquisition of Sterling will increase its revenue and staff by 20 percent.

Lambert Edwards was established in 1998. This is the company's fifth acquisition, and second-largest, since 2004. The largest took place in 2009 when it acquired Troy-based John Bailey & Associates, which brought the firm into the Lansing market due to its public policy work.

Lambert Edwards now has offices in Grand Rapids, Lansing and Detroit.

Economic optimism

A quarterly survey from the Business Leaders for Michigan found its members are optimistic about the state's economic potential, but less so about the national economy.

According to the survey, 54 percent expect the state's economy to grow during the next six months, with just 34 percent holding that same belief for the U.S. economy. Not one of the 80 executives who are members of the group indicated they expected the economy to worsen in the next six months.

Over the next 18 months, 71 percent of respondents said they expected the state's economy to grow, with 46 percent expecting the national economy to grow.

The survey also found that more than half of the respondents are projecting their companies will add jobs and make capital investments in the state.

If you enjoy the content on the Crain's Detroit Business Web site and want to see more, try 8 issues of our print edition risk-free. If you wish to continue, you will receive 44 more issues (for a total of 52 in all), including the annual Book of Lists for just $59. That's over 55% off the cover price. If you decide Crain's is not for you, just write "Cancel" on the invoice, return it and owe nothing. The 8 issues are yours to keep with no further obligation to us. Sign up below.

If you enjoy the content on the Crain's Detroit Business Web site and want to see more, try 8 issues of our print edition risk-free. If you wish to continue, you will receive 44 more issues (for a total of 52 in all), including the annual Book of Lists for just $59. That's over 55% off the cover price. If you decide Crain's is not for you, just write "Cancel" on the invoice, return it and owe nothing. The 8 issues are yours to keep with no further obligation to us. Sign up below.